Europe’s booming second-hand market to reach €86 billion by 2028
The European second-hand market is now worth over €32 billion worldwide and is projected to reach €86 billion by 2028. That is according to this year’s edition of an annual study from startup Tripartie in collaboration with Wavestone.
That current value of the global second-hand market, €128 billion, is indicative of significant annual growth as the market for used goods and products booms thanks to less purchasing power across the board and the growing popularity of e-commerce.
It is estimated that more than 87% of Europeans already participate in the second-hand market.
The study found an annual rate of growth of 22% and around half of respondents to the study said that they had bought at least one second-hand product in the last 12 months.
Young people appear to be especially engaged in the second-hand market, with 81% of respondents from 18 to 24 year olds saying they have bought or sold goods.
The used-products market (also known as C2C, or customer-to-customer) is both online and offline. Online players – like Ebay.com or newer players like Vinted – act merely as an intermediary and facilitate transactions between buyers and sellers.
E-commerce is big business in Europe, with countries like the UK seeing over 10% of their GDP dominated by the sector. The sector is a smaller percentage of the GDP of countries like France, Spain, and Germany, but it still accounts for tens of billions of euros.
Environmental concerns also help to boost the market for used products. The study shows that 7 out of 10 people already buy second-hand clothing and 1 out of 10 reported having sold a phone on a second-hand marketplace.
“Nearly 50% of the respondents buy second-hand for environmental reasons, with the aim of reducing waste, limiting their impact on the planet and fighting against overconsumption,” reads the study.
“The Covid-19 lockdown was an opportunity for many consumers to experience a forced reduction in consumption that encouraged them to question their consumption habits and their impact on the environment. By promoting re-use and the circular economy, buying second-hand goods meets consumers’ environmental concerns, particularly for millennials and Gen Z.”
Tripartie is a start-up from France that helps consumers resolve their disputes stemming from online purchases. Wavestone is a leading management and digital consulting firm.